We buy the land under your building or your project and lease it back for 99 years. You keep the building and the upside; the land cost comes out of the stack at a fixed, non-amortizing cost, with no maturity, no promote and no one to buy out. Below roughly $35 million of total cost we are the buyer, with our capital partners. Above it we structure the split and take it to every buyer whose box it fits.
Sell us the land under the building or the project, keep the building and the upside, and pay a rent sized to what the property can carry. The proceeds replace the most expensive piece of the stack.
The land contract funds day one; the balance comes through milestone draws after sponsor equity spends first. The construction lender sizes the building, not the dirt.
Construction financing →Land proceeds at a fixed, non-amortizing cost, no maturity, no promote, no one to buy out. The piece that grinds the GP goes away.
Replacing preferred equity →When the new loan sizes short, the land covers the difference without a capital call or a second mortgage.
Solving a loan maturity →A project that stopped mid-construction still sits on land we can buy today. Completion capital without a rescue lender’s terms.
Completion capital →Hotels carry the widest yields in commercial real estate, so the spread over a ground cap unlocks the most land value relative to total cost.
Hotel ground leases →The land is the way out. We sit ahead of nothing except the lease, and we never sit behind PACE.
C-PACE and the land →Rent is a share of stabilized NOI, 20 to 30 percent, from your own proforma.
Price is the rent capitalized at a long-term land yield. If the NOI moves, the price moves with it, both directions.
Unsubordinated, fixed escalations, never a market reset. The form every leasehold lender accepts.
We are the buyer from the first number to the closing table. The clock is title and your lender.
Run the numbers on your own building. · What an indicative land bid looks like.
Every ground lease we originate is a land position someone wants to own: 99 years, unsubordinated, fixed escalations, a building standing behind the rent. We find the property, size the rent and write the lease for family offices, private investors and 1031 exchangers who tell us their box once and then see one deal at a time. How the program works · 1031 Solutions · See the two halves.
99-year unsubordinated lease, fixed escalations, nothing to manage. For the investor or exchanger who wants long, quiet income and never a call.
The income and the depreciation, on the same land under the same lease. For the investor who needs yield now.
We buy the land under your building or project, with our capital partners, and write the lease to the standard every leasehold lender uses. You keep the building.
Sell the land, keep the buildingNew ground leases originated to your box: sourced, underwritten and papered, one whole position at a time, under finished buildings or new projects.
Ground leases made to orderA sponsor needs the land cost out of the stack. A land investor needs a lease to own. We find both, structure the split, write the lease and arrange the debt. We make the market where the two meet.
How we make the market · Help with a lease you did not writeWe are flexible on the things that kill deals for no good reason: size, market, timing, how the price is built when land value and project cost disagree, how a sponsor’s equity and pre-development spend are credited. We are rigid on the things that make a leasehold financeable, because that is what makes the deal close. Gentle on structure, immovable on the lease. How we got here.
We make ground leases. We buy the land under commercial buildings and projects, with our capital partners, and lease it back for 99 years, so the owner or sponsor takes the land cost out of the capital stack and keeps the building. We originate those leases for investors who want to own them, and on larger or more complex deals we structure the transaction and bring the two sides together. Washington, DC, founded 2015.
Rent sized at 20 to 30 percent of stabilized NOI, escalating 2 percent a year with a capped inflation test every ten years. Against the proceeds that is a fixed, non-amortizing cost with no maturity, no promote and no one to buy out, compared with 10 to 15 percent for preferred equity or mezzanine.
Send stabilized NOI, total cost and the address and you get an indicative land bid built the same way every time: rent as a share of NOI, price as rent divided by the ground cap. Days, not weeks.
Yes. The lease is written to the standard every leasehold lender uses: fee never subordinated, term running at least thirty years past loan maturity, fixed escalations with no market reset, rent paid without offset. That is the one place we do not negotiate, because it is what makes the leasehold financeable.
Capital partners: family offices, private investors and 1031 exchangers who want to own land under a 99-year lease. Each buys a whole position and tells us in advance what they want to own. Fractional structures are arranged privately with licensed partners and never offered on this site.
Stabilized NOI, total cost and the address. You get an indicative land bid, built the same way every time, in writing. Investors: the inventory is on the 1031 Solutions page.
See what the land is worth I am an investor